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Morgan Stanley

DWD.DE
55
Financial - Capital Markets · Financial Services
Price
€180.70
-0.75 (-0.41%)
Market Cap
€284.06B
Exchange
Frankfurt Stock Exchange
Winston Score
55
Winston is curious
A decent business — some strong pillars, some weaker.
Data as of Aug 23, 2026 · filings through Jun 30, 2026
How the score breaks down
Quality
Good
Growth
Exceptional
Cash Flow
Weak
Stability
Weak
Valuation
Good
Dividends
Good

Share count falling — buybacks

25.3% over 4y

The company has reduced its share count over this period, returning value to shareholders through buybacks.

Diluted shares outstanding: 1.81B (2021) → 1.36B (2025)

Winston Score History

The full picture

Morgan Stanley is a large American bank that helps wealthy people, big companies, and governments manage money and make financial deals. Its main businesses are investment banking (helping companies raise money or merge with other companies), wealth management (advising rich clients on saving and investing), and trading stocks and bonds. It is one of the largest investment banks in the world.

Morgan Stanley makes money through fees on deals it arranges, commissions on trades, and a percentage of the assets it manages for clients. It operates globally, with major hubs in the United States, Europe, and Asia, and manages trillions of dollars in client assets. Its large base of wealth management clients and long-standing relationships with major corporations give it a durable competitive position, though the business is sensitive to market downturns — when markets fall or deal activity slows, revenue can drop sharply.

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+22.5% YoY

YoY Growth Rate

Steady revenue growth

EPS Growth

+62.8% YoY

YoY Growth Rate

EPS growth accelerating

R&D Spend

$0/ year

0.0% of revenue

Below sector average (7%)

Research and development spending

Insider Activity

23.9%ownership

Flat

Insider ownership roughly steady over the past year

Cash Position

Cash flow positive

$844.6B cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

Company generates more cash than it spends — no dilution risk from fundraising

Growth + cash flow

Morgan Stanley is a rare growth stock that's already generating positive cash flow while growing at 23%. The Winston Score doesn't fully credit this transition from "burner" to "earner."

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

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Quality

Profit per sale
Gross Margin
61.6%
Premium pricing power — 61.6% gross margin
Profit after running costs
Operating Margin
21.3%
Excellent — 21.3% operating margin
Return on the money invested
ROCE
4.1%
Weak — 4.1% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales growth
Sales YoY
+21.0%
Fast-growing sales (+21.0% YoY)
Profit growth
EPS YoY
+40.2%
Earnings growing fast (+40.2% YoY)

Earnings growing 25%+ a year. The compounder zone.

How steady the profit is
EPS Consistency
8/8 quarters
Every recent quarter grew earnings vs last year

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Cash Flow

Profit that turns into cash
Cash Conversion
-39%
Weak — only -39% of profit becomes cash
Spare cash per sale
FCF Margin
-7.9%
Burning cash (-7.9%)

Free cash flow is negative. They are burning cash, not generating it.

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Stability

What it owes vs what it owns
Debt / Equity
4.51
Heavy debt load (4.51)
Covers its interest
Interest Cover
0.52x
Dangerous — barely covers interest (0.5x)

Interest coverage below 1. Their profits don't cover the interest bill.

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Valuation

Price vs profit
P/E Ratio (TTM)
14.4x
Attractive valuation — P/E 14.4

P/E in the normal range. Price is roughly $15 for every $1 of yearly profit.

Cheaper or dearer next year
P/E vs Forward
-1.9
SLOWING
Earnings expected to fall — forward P/E higher than today

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Dividends

Dividend
Dividend Yield
2.18%
Moderate income — 2.18% yield

Standard yield zone for stable dividend payers. A meaningful piece of total return.

Dividend record
Dividend Growth
+5.4%
Dividend growing modestly (5.4% YoY)

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